Online Marketplaces: A New Risk for Acquirers

Fraudsters New Favorite Targets

Advanced methods of online shopping continue to appear. Consumers, eager to find specific products or an amazing deal, are now migrating toward sites that provide a quick and convenient way to purchase goods. Online marketplaces have successfully filled that niche offering a wide range of products and/or services to choose from. Marketplaces execute this by pulling together the inventories and capabilities of multiple sellers under one umbrella.

Sites like Amazon, eBay and Allegro led the way and are prime examples of current marketplaces that provide a variety of goods across several different geographies. Online shoppers looking for a one-stop shop are flooding to these marketplaces to save time, money and effort. As commerce evolves, so do the fraudsters. Acquirers must be vigilant because transaction launderers and other bad actors are also riding this wave making it increasingly difficult to regulate.